NAB to restructure IT, cut staff

National Australia Bank is reportedly set to cut at least 100 IT roles within weeks as part of a cost containment drive.

The cuts were first reported by the Australian Financial Review, which also said that group executive of technology and enterprise operations Patrick Wright had instituted a hiring freeze, suspended previously approved roles, and told direct reports to find immediate savings.

“We are conscious of the uncertainty and challenges driven by COVID-19 but need to continue to make changes to our operating model to support the business strategy - and shift to a much more efficient way of working,” Wright said in an email last week that was partially obtained by iTnews.

“For our technology and operation team, the proposed changes are designed to increase efficiencies by centralising teams, improve focus on project delivery and create clearer lines of responsibility and accountability.”

Wright said the technology function needed to be able to “pool resources and scale up or mobilise resources to where the work is”.

He also appeared to suggest that NAB would devolve more technology responsibility out to different parts of the business, saying the bank will set up “divisional CIO teams to be successful, and shift how we work”.

Wright also said the bank would create “clearer responsibilities and reporting lines so our teams can make decisions faster and focus on only working on what really matters.”

The cuts come after several years spent rebuilding its technology team and internal capability following a long period of IT outsourcing.

A NAB spokesperson did not comment on the specific number of roles to be cut, saying only that “changes to our operating model [announced in April] have also required some difficult but essential decisions".

"[This] will mean the loss of some roles that are no longer necessary but at the same time will see the creation of some new roles with an emphasis on how we can better support our frontline teams," the spokesperson said.